"HB 7005 is the first step of many to create an infrastructure that encourages other companies to move to Florida," said Rep. Doug Holder, R-Sarasota, who sponsored the bill. "It sends a resounding message to the business that Florida is the place to be and is quickly becoming the most business-friendly state in the country."

The House bill would cut six weeks of benefits, currently a maximum of 26 weeks. It also would deny benefits for employee "misconduct," even outside the workplace, force the unemployed to accept a job that pays at least minimum wage after 19 weeks on benefits, and discontinue benefits if the jobless refuse to undergo a skills review.

Democrats voted overwhelmingly against the bill, some making passionate pleas not to cut benefits at a time when unemployment is still nearly 12 percent.

Holder announced Florida's 11.9 percent rate, down slightly from 12 percent in December 2010, on the House floor. While the rate edged downward, Florida lost nearly 13,000 jobs over the month. But when comparing this January with last year's, the state gained 8,400 jobs.

South Florida's metro regions had mixed results. The Fort Lauderdale region gained 900 jobs over the year while Miami metro area added 6,000 jobs since January 2010. West Palm Beach-Boca Raton saw an annual decline of 1,800 jobs.

Chopping state benefits from a maximum of 26 weeks to 20 weeks would hurt Florida's lower- and middle-class residents, increase Medicaid and food stamp costs, and squeeze small businesses at the cash register, Democrats said. While Florida's unemployment insurance trust fund is broke, like many state funds, the bill would reduce what employers pay by only $18 per employee, some argued.

Rep. Perry Thurston, D-Plantation, said the bill was being called "mean-spirited" toward Florida's middle- and lower-class jobless individuals. "Why are we punishing them? Why are we making it more difficult for them to feed their families?"

Rep. Daphne Campbell, D-Miami, said the bill will create more homelessness in the state. "At this time, with an unemployment rate of nearly 12 percent, why would we want to make it harder for unemployed Floridians to survive?"

Any loss of benefits would be "devastating" to Florida's struggling families, said Arlene Wites, 56, who in February was laid off from her 12-year public relations job at a Fort Lauderdale institute.

With her husband not working and two children in college, Wites said she needs unemployment benefits to cover job-search expenses and a $1,400 monthly premium to continue her family's medical benefits.

"I'm sure I'm like a lot of other people my age for who have not expected to be laid off and did not save for the rainy day. Every bit of financial assistance that I can secure is a godsend right now," Wites said.

Under the legislation, benefits would be tied to the unemployment rate, going as low as 12 weeks when the rate falls to 5 percent or below, with a week added when the rate increases by 0.5 percent, with a cap at 20 weeks.

If the bill becomes law, Florida would be the only state in the nation to provide less than 26 weeks of state benefits, the standard for 75 years, said George Wentworth, a lawyer for the National Employment Law Project.

Moreover, shortening state benefits would result in fewer benefits in the future for the state's unemployed in bad economic times when federally paid benefits are available. Wentworth said it would reduce federal extended benefits for Florida's unemployed from a maximum of 53 weeks to 40 weeks.

In his support of the bill, Holder told legislators unemployed Floridians could still qualify for federally paid extended benefits. But in an interview with the Sun Sentinel last week, Holder acknowledged shorter state benefits would eventually result in fewer federal benefits for Floridians. He said those currently receiving benefits wouldn't be affected because the bill wouldn't be implemented until August.

Gov. Rick Scott supports the benefit cuts, part of his budget proposal reducing unemployment taxes for employers by $630.8 million.

Still under consideration in Florida's Senate is S 728, legislation that contains similar changes to the unemployment compensation qualification, but doesn't trim weekly benefits.